The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1887-12-21
LETTERS FROM THE PEOPLE.
The National Banking System.

TO the Editor of the indianapolis Journals
Among the various methods suggested in rela
ton to the financial condition of the country,
allow me to suggest the following: We now
have outstanding in legal-tender and old demand
notes $346, 1878. 341, and to secure which we have
in the treasury $780, 00r, 600 in gold We have
national bank notes outstanding, did have
Aug. i, 1887, SLIGO 625, 65S probably now less
Let the government redeem 800, 600. 0O0 of the
demand notes with the gold on hand and issue
2-per- cent. bond at fifty or hundred years
for $3.50 0000 900 5000, 600. 600 basis fo-
banking and il need be increase the amount to
meet the demands of trade, remove the govern
ment tax national banks, place them for tax
alton like any other property, and
the bonds would readily be taken at
par. and We would soon have
currency that would adjust itself
to the demands of trade and wants of the
country aud not leave the whole financial
dition of the country in the hands of one man,
the Secretary of the Treasury, to allow him to
contract and expand the currency at his will.
Make the national bank notes redeemabe in
gold and silver. By this means you would not
only have the notes we'll secured but would pro-
vide a demand and use for the gold and silver.
But It is thought by many that If the govern
ment furnishes the notes circulating medium
it is a clear saving of interest to the amount OF
its outstanding circulation This is not true,
for il loses the interest on the hundred million
of gold in the Treasury, beside the treasury
notes are non-taxabe. There is virtually
tax collected on the money in the hands of CAPT
tasts throughout the country, for when the tax
goes around the bankers and the
capitalists and all others having money
say that the same Is In treasury notes. and
these notes transferred from one State to
another by the bankers and capitalists, so that
the day of assessing all the money on hand Is
in treasury notes, non-taxable, and in this wise
the money OF the country pays no tax-leaves
raolrr or1H thar ~ he anna
and this 1916 cos 900 is thus used to avoid the
payment of taxes more than billion OF
money, the tax on which would be a sum far
greater than the cent. interest on the
bonds. But it is said that the government has
no use for money; that 1t doesn't owe anything.
A strange idea, when she has outstanding an in
debtedness of more than a billion bonds, be-
aides those $346, 600. 600 demand notes. By the
time we redeem those we will find ample use
for the surplus in liquidating the billion OF bonds
now outstanding many OF which mature
Sept /, 1891. And if necessary to pre-
vent too great surplus in the Treasury
Ia thing rather unusual in Democratic times),
we could and should adjust the tariff in such
manner to collect only what WAS needed Take
it off of such articles don't produce. but be
careful that don't destroy our manufact-
urers, for when we do that we il lure the farmer
and laboring class.
We are not unaware that there is popular
idea in the country that the legal tenders
the cheapest and best currency the country ever
had This is a mistake. Only class is ben
Gifted by it, and that is the capitalist, as we
have shown above.
No system OF banking ever better adapted
to supply the wants of the people and the de-
mands of trade. than the national banking sys-
tenn, properly regulated. Let it be free and open
to all upon the same terms and there can be no
cry of favortism.
This question is one of the most important
that this Congress will have to deal with, yet it
is thought By the President to be of such trifing
i'm portance not to require a passing notice in
his message to Congress Why notl We can
only imagine, that be and his friends hostile
to the system and think that by the close of this
ad istration they will virtually be closed out.
At the commencement of this Administration
the national bank circulation outstanding was
about $3.50. 600, O00-now about $l66 600, 000
CoNNERsvILLE, Dec 10 i. Z.